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Pre-need firm’s assets sought to cover plan holders’ claims

A SENATE panel has asked the owner of a beleaguered financial group to submit a statement of assets and liabilities (SAL) as basis for liquidating properties to pay the claims of pre-need plan holders.

Senator Manuel A. Roxas II, chairman of the committee on trade and commerce that handles the investigation into the collapse of the Legacy Group, yesterday bared during a hearing several properties of Sto. Domingo, Albay Mayor Celso delos Angeles, Jr., including four luxury vehicles, a mansion in Cebu and a yacht docked in Sto. Domingo.

Mr. delos Angeles, who admitted he owned the properties, promised to submit his SAL to the committee.

Mr. Roxas said the properties, which are worth at least P100 million, could be attached to retrieve pre-need plan holders’ claims of over P1.1 billion.

“These properties should be sheriffed, should be attached by proper government agencies. The fruits of his [Mr. delos Angeles’] enterprise should go to the plan holders,” said Mr. Roxas in a news conference after the hearing.

Mr. delos Angeles said there are “sufficient funds” in the trust fund to pay the claims of plan holders. Officials had earlier said the amount in the trust fund stood at P300 million.

Pre-need firms’ closure?

Philip H. Piccio, president of Parents Enabling Parents Coalition fighting for the claims of plan holders, raised the rumored imminent collapse of four pre-need companies.

He criticized the Securities and Exchange Commission (SEC) for having been remiss in ensuring the welfare of thousands of plan holders.

“How come the SEC is not even announcing that there is another pre-need company that will collapse anytime now? The smoke is so strong, everyday we get complaints for the past year already of them not being paid,” Mr. Piccio told senators during the hearing.

SEC Chairman Fe B. Barin refused to identify the companies, saying they would submit a formal report to the Senate “because it’s very difficult, it’s very dangerous for us to err.”

Ms. Barin, however, confirmed that Pryce Plans, Inc. is “switching benefits” and is only paying its plan holders medicines and cooking gas, instead of the promised investment returns. She refused to elaborate when asked if Pryce was among the troubled companies.

“If ever there’s a case where there is a switching of benefits that is actually deposited, this is already a servicing pre-need plan and this is the Pryce Plans because the information that we received is instead of delivering the benefits promised, they just pay them medicine, so they pay some cooking gas,” said Jose P. Aquino, director of the SEC’s nontraditional securities and instruments department.

“I know for one that Pryce is no longer selling plans,” said Ms. Barin. — Bernard U. Allauigan

Related

Im a OFW had bought a college assurance plan from pryce plan for my eldest son and had completed paying last june 2005.when i heard about the problems of the pre-need companies i tried to refund or even loan somehow i could get back some of my money unwisely invested in this scam,but was so surprised to find out that there is no office of pryce plan existing in bacolod city.

Comment by Richard John Lavapiez |
March 12, 2009

i am carms lukban. my parents bought three educational plans at the Platinum Plans, Inc. for my siblings and i in the early 90’s. when my twin and i went to college in 2004, they gave us individual checks.to our surprise, it was only good for one semester. afterwards, all the checks that were given bounced. on the other hand, my younger sister did not get any since she only went to college in 2006 when the Platinum Plans closed sometime in 04-05 (they claimed).

to start, how can we settle this problem? where do we start?

thanks,

Comment by ma. carmela lagumen lukban |
March 24, 2009

i am carms lukban. my parents bought three educational plans at the Platinum Plans, Inc. for my siblings and i in the early 90’s. when my twin and i went to college in 2004, they gave us individual checks.to our surprise, it was only good for one semester. afterwards, all the checks that were given bounced. on the other hand, my younger sister did not get any since she only went to college in 2006 when the Platinum Plans closed sometime in 04-05 (they claimed).

to start, how can we settle this problem? where do we start?

Comment by ma. carmela lagumen lukban |
March 24, 2009

i would certainly want to join this coalition, though clearly am not a parent.it’s for my nanay and tatay after all.plus, it’s their hard earned money entrusted to Platinum Plans, Inc.

Comment by ma. carmela lagumen lukban |
March 24, 2009

no2pep2010 welcomes everyone that satisfies the egroup’s criteria

Comment by no2pep2010 |
March 26, 2009

I was a believer of insurance actually especially when I work as a secretary/cashier of Scholarship Plan Phils., Inc. (which is now a LEGACY GROUP)I was so “thrifty” to myself in order to have a better plan for my little money, though it is just a penny, when the time it was matured i have a money to say “this is the worth of my “thriftiness”..But it is all gone now..I’m hoping to save the money we gave to them. my plan will be released on 2012. it is so near for the reality. have conscience to us who are thinking for a better saving of our money.

gd am , iam also a victim of this pre-need plan which s platinum plan .supposedly i am qualified already to claim the pension last may,2006.but the problem is platinum office in iloilo is nowhere to find.I’ve been to sec iloilo branch asking them what to do in order to get my money back. Stupid man he only gave the address of the reciever with out even giving an advice.i called up the office of elmer cadado he’s out of reach.can you share to me what to do? hoping that GOD WILL TOUCH THIER HEARTS AND THEY WILL REALIZE THAT THERE ARE LOTS OF PEOPLE NILOKO NILA.THE MONEY THAT WAS INVESTED TO THEM IS HARD EARNED MONEY MAAWA NAMAN KAYO” PRES. AROYO PLS. DO ACTION ON THIS .KAMI ANG LOSER NITO.KAYA WALA TAYO ASENSO KASI WALA TAYONG LOVE SA ATING MGA PUSO.SELFISHNESS AND GREED IS THE ROOT OF ALL EVIL.

Hello there, Im Rebecca Patubo of Olongapo City, the mother of two children who are Platinum Plan Holders. I am looking for the current address of the Platinum Plan Philippines in order of us to submit our reimbursement claims. Can you please help us locate it I really need their present address right now. It looks like their office is not in Makati anymore coz I tried to call their office no. but to no avail.

I have also other problem… my daughter who already graduated from college last April 2009 have not receive any single cent as a reimbursement payment (1st yr-4th yr)from College Assurance Plan (CAP).

Why are they giving us hard time now? Are they callous to us? The money we paid for them to get an educational plan for our children is a hard earned money.

About Us

The “PEP Coalition” stands for “Parents Enabling Parents,” a group of parents empowering other parents to stand up for their rights and demand what is legally and morally due them.

The Coalition is committed to assist its members in their quest for justice and to continue its advocacy for good corporate governance.

The PEP Coalition was formed when Pacific Plans, Inc. (PPI) applied for rehabilitation with the Makati Regional Trial Court, and earned a Stay Order allowing it to discontinue payment of tuition fees to holders of traditional, open-ended plans. In lieu of payment, the planholders were forced to accept a patently disadvantageous scheme, which had been designed without their knowledge, and took effect without their approval.

The reaction to this unexpected and unconscionable move was an immediate mobilization of outraged parents, culminating in the First General Assembly held at St Paul Gymnasium in Pasig City, April 25, 2005 attended by some 2,000 disenfranchised and furious plan holders.

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This site is a public service for PEP Coalition planholders as well as for the public who may be looking for information on the pre-need industry and the PEP Coalition's quest for justice in the courts.

We also scour the internet for past and present articles on the industry and specific pre-need companies in an effort to provide ready access to everything written about the pre-need industry in a central area (our site). Each news article contains the source, publish date, and where available, a link back to the actual news site.

If you have a reaction to a specific article posted, you may click on Comments link found at the bottom of each post.